Murdoch's News Corp to sell Foxtel to DAZN for $2.1 billion

SYDNEY, Dec 23 (Reuters) - News Corp has agreed to sell its Australian cable TV unit Foxtel to British-owned sports network DAZN for A$3.4 billion ($2 billion) including debt, cutting the Murdoch-controlled media empire's exposure to a business up-ended by streaming platforms.

News Corp will gain a board seat and hold a 6% stake in DAZN, a London-headquartered global streaming platform available in North America, Europe, and Asia and backed by Ukranian-born billionaire Len Blavatnik.

DAZN is a broadcasting partner for Italy's Serie A, Spain's LaLiga, Germany's Bundesliga and France's Ligue 1. It competes against traditional TV and satellite channels and provides access to a range of sports content, including American football, boxing and baseball over its streaming platform.

"Australians watch more sport than any other country in the world, which makes this deal an incredibly exciting opportunity for DAZN to enter a key market, marking another step in our long-term strategy to become the global home of sport," said DAZN co-founder and CEO Shay Segev.

Foxtel, launched by News Corp in 1995, has weighed on the media giant's profits for years as the number of people who pay monthly subscriptions for its broadcast content switched to cheaper streaming options like Netflix (NFLX.O), opens new tab.

It has tried to diversify by adding its own streaming services like Kayo, which livestreams local sports Australian Football League (AFL) and the National Rugby League (NRL), to win back sports broadcasting market share. It also shows ESP...
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